Belden Inc (BDC)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 37.47% | 38.01% | 35.15% | 33.54% | 32.85% |
| Operating profit margin | 10.83% | 12.64% | 13.94% | 11.46% | 8.57% |
| Pretax margin | 9.26% | 11.38% | 11.68% | 3.99% | -2.00% |
| Net profit margin | 8.06% | 9.66% | 9.77% | 2.78% | -3.15% |
Belden Inc's profitability ratios have shown a generally positive trend over the years, indicating improved efficiency and effectiveness in generating profits.
1. Gross Profit Margin: The company's gross profit margin has been increasing steadily from 32.85% in 2020 to 37.47% in 2024. This suggests that Belden Inc has been effectively managing its production costs and pricing strategies, leading to a higher percentage of revenue available to cover operating expenses and generate profits.
2. Operating Profit Margin: Belden Inc's operating profit margin experienced fluctuations but showed an overall increasing trend over the years, reaching 10.83% in 2024. This indicates that the company has been able to control its operating expenses and improve operational efficiency, resulting in a higher percentage of sales revenue translating into operating profit.
3. Pretax Margin: Despite a negative pretax margin of -2.00% in 2020, Belden Inc managed to turn around its profitability significantly, with pretax margins of 9.26% in 2024. This improvement suggests effective management of taxes and other non-operating expenses, ultimately boosting the company's profitability before taxes.
4. Net Profit Margin: Belden Inc's net profit margin has shown a positive trend over the years, increasing from -3.15% in 2020 to 8.06% in 2024. This indicates that the company has been successful in controlling both operating and non-operating expenses, resulting in a higher percentage of revenue translating into net income.
Overall, Belden Inc's profitability ratios reflect a positive trajectory, demonstrating the company's ability to efficiently convert revenue into profits and improve overall financial performance. It suggests that the company has been making sound strategic decisions to enhance profitability and create value for its shareholders.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 8.01% | 9.80% | 11.49% | 7.72% | 4.78% |
| Return on assets (ROA) | 5.96% | 7.49% | 8.05% | 1.87% | -1.76% |
| Return on total capital | 10.99% | 13.39% | 15.77% | 10.92% | 6.46% |
| Return on equity (ROE) | 15.33% | 20.82% | 22.28% | 6.69% | -7.35% |
Belden Inc's profitability ratios show an improving trend over the years, indicating enhanced efficiency in generating profits from its assets and capital.
- Operating return on assets (Operating ROA) has seen a steady increase from 4.78% in 2020 to 11.49% in 2022, slightly declining to 8.01% in 2024. This metric reflects the company's ability to generate operating profits from its total assets.
- Return on assets (ROA) has shown a significant improvement, moving from -1.76% in 2020 to 5.96% in 2024. This suggests that Belden has been able to effectively utilize its assets to generate profits for shareholders.
- Return on total capital has also seen a positive trend, increasing from 6.46% in 2020 to 15.77% in 2022, before decreasing slightly to 10.99% in 2024. This indicates that the company has been efficient in generating returns for both debt and equity holders.
- Return on equity (ROE) has shown consistent growth, rising from -7.35% in 2020 to 15.33% in 2024. This metric highlights the company's ability to generate profits from shareholders' equity.
Overall, the improving trend in these profitability ratios reflects Belden Inc's increasing profitability and effectiveness in generating returns for its stakeholders.